Story perspectives

China's Inflation Hits 34-Month High Amid Deflationary Pressures

1/9/2026

25 4

Summary

Story summary

China’s consumer price inflation rose to a 34-month high in December 2025, with the consumer price index up 0.8% year on year, driven by higher food prices.
The full-year CPI rate remained unchanged and below the 2% target.
Producer prices declined 1.9% in December 2025, signaling deflationary pressures.
The government plans additional measures for 2026, including funding for a consumer goods trade-in scheme and flexible monetary policy to stimulate growth.

1 of 1

Story summary

China’s consumer price inflation rose to a 34-month high in December 2025, with the consumer price index up 0.8% year on year, driven by higher food prices.
The full-year CPI rate remained unchanged and below the 2% target.
Producer prices declined 1.9% in December 2025, signaling deflationary pressures.
The government plans additional measures for 2026, including funding for a consumer goods trade-in scheme and flexible monetary policy to stimulate growth.